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HUMAN RESOURCE MANAGEMENT
TOPIC EIGHT: EMPLOYEE MOTIVATION
What is Motivation? Meaning
Motivating means encouraging people to take more initiative and interest in the work assigned. It is an
art of getting things done willingly from others.
Motivation avoids clashes and non-cooperation and brings harmony, unity and co-operative outlook
among employees. Managers have to work as motivators of their subordinates. For this, effective
communication, proper appreciation of work done and positive encouragement are necessary and useful.
Motivation is inspiring and encouraging people to work more and contribute for achieving the objectives
of the company The creation of the desire and willingness to perform the job efficiently is known as
motivation.
Motivation is a psychological and sociological concept as it relates to human behavior and human
relations. It is the most fundamental and all pervasive concept of psychology. For motivation, sweet
words are useful but are certainly not adequate. Motivation basically relates to human needs, desires andexpectations. In other words, these factors suggest the measures which can be used for the motivation of
employees.
In motivation, efforts should be made to satisfy the different needs of employees so that they will be
satisfied, happy and away from tensions. This creates favorable environment because of which
employees take more interest and initiative in the work and perform their jobs efficiently. Motivation is
a technique of creating attraction for the job. It is encouraging employees for better performance in order
to achieve the goals of an Organization. The process of motivation is a continuous one (circular one) and
is beneficial to both - employer and employees. It is a key to improve work performance of employees.
The term 'motive' is derived from the Latin word 'emovere' which means to move or to activate.
Motivation is the act of making someone to act in the desired manner through positive encouragement. Itis through motivation that employees can be induced to work more, to earn more and to give better
results to the Organization.
Definition of Motivation
1. According to W. G. Scot, "Motivation means a process of stimulating people to action to
accomplish the desired goals."
2. According to Michael J. Jucius, "Motivation is the act of stimulating someone or oneself to get
a desired course of action, to push the right button to get a desired results."
Features of Motivation
1. Psychological Process : Motivation is a psychological process useful for encouraging employees
to take more interest in the work assigned. It relates to human relations.
2. Initiative by Manager : The initiative for motivation is by the manager by offering guidance
and also by other methods like appreciation of good work or offering incentives. Management has
to adopt special measures for motivating employees. They include monetary as well as non-
monetary.
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3. Continuous activity : It is a continuous and circular process. Subordinates need motivation in a
continuous manner as their needs and expectations change from time to time. A manager has to
study the needs of workers and use the technique of motivation accordingly. The process of
motivation must be made a regular and continuous one.
4. Goal-oriented and action-oriented : Motivation diverts human behavior towards certain goals.
Attainment of organizational and individual goals depends on the motivational plans.
5. Broad concept : Motivation covers needs, human relations and satisfaction of employees. For
employee motivation, monetary and other incentives need to be offered. Job satisfaction is one such
need and is useful for their motivation.
6. Essence of management process : Motivation is an essential function of a manager. He has to
motivate his subordinates for achieving organizational objectives. Motivated labour force is an asset
of a business unit. Motivated employees bring prosperity to a business unit.
7. Beneficial to employees and management : Motivation offers benefits to employees and
Organisation. It avoids crashes and encourages cooperative outlook among employees. Motivation
leads to cordial labour-management relations. It provides more profit to management and better
welfare to employees.
8. Varied measures available for motivation : For motivation, various monetary and non
monetary incentives can be offered to employees by the management. Attractive wages, welfare
facilities, job satisfaction, appreciation of good work, encouragement to self-development, job
security and fair treatment are some measures of motivating employees.
9. Motivation is different from satisfaction : Motivation implies a drive towards a result while
satisfaction involves result already experienced and achieved. 'When desire is satisfied, employee is
motivated'.
10. Related to a person in totality : An employee is motivated in totality and not in part.
Employee's basic needs are interrelated. Management must fulfill all the needs through monetary
and non-monetary incentives.
Importance of Motivation
Motivation occupies an important place and position in the whole management process. This technique
can be used fruitfully for encouraging workers to make positive contribution for achieving
organizational objectives. Motivation is necessary as human nature needs some sort of inducement,
encouragement or incentive in order to get better performance. Motivation of employees offers may
benefits to the Organisation and also to the employees. This suggests the importance of motivating
employees. Motivation acts as a technique for improving the performance of employees working at
different levels.
Motivation of employees is one function which every manager has to perform along with other
managerial functions. A manager has to function as a friend and motivator of his subordinates.
Motivation is useful in all aspects of life and even our family life. The same is the case with business.
This dearly suggests that motivation is extremely important. It is an integral part of management process
itself.
Advantages of Motivation
(A) Advantages of Motivation to Management / Organization
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1. Increase in the efficiency and productivity of employees. Motivation ensures a high level
performance of employees.
2. Better co-operation from employees and cordial labour-management relations.
3. Reduction in the rate of labour absenteeism and turnover.
4. Reduction in the wastages and industrial accidents.
5. Improvement in the morale of employees.
6. Quick achievement of business/corporate objectives and favorable corporate image.
(B) Advantages of Motivation to Employees / Workers
1. Employees get various monetary and non-monetary facilities/benefits which provide better life
and welfare to them.
2. Security of employment and other benefits due to cordial relations with the management.
3. Job attraction and job satisfaction.
4. Higher status and opportunities of participation in management.
5. Positive approach and outlook of employees towards company, management and superiors.
6. Reduction in the rate of labour turnover which is harmful to employees and management.
7. Better scope for improvement in knowledge and skills of employees.
Motivational Factors / Incentives
(A) Monetary or Financial Incentives
Monetary incentives are offered in terms of money. Such incentives provide more cash or purchasing
power to employees. Monetary incentives are extremely attractive to employees (particularly those
working at lower levels) as they get the benefit quickly and in concrete terms. At the higher levels of
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management, non-monetary incentives are more important than monetary incentives. Workers prefer
monetary incentives as compared to non-monetary incentives. Managements also offer liberal monetary
incentives to all categories of workers.
Monetary incentives may be further classified as following :-
1. Individual Monetary Incentives : The benefit of individual monetary incentive is available to
concerned worker only. For example, F. W. Taylor suggested differential piece rate system which
offers different wage rates to different workers as per their production efficiency. Different
incentive wage plans are the examples of individual monetary incentives as the benefit is offered
individually to every worker. Here, a worker is paid as per his efficiency, productivity or as per the
production given by him. Efficient/sincere workers give more production and get higher reward in
terms of wage payment.
2. Group Monetary Incentives : In the group monetary incentives, the monetary benefit is not
given individually but to a group of workers or to all workers in the Organisation. Workers have to
work jointly/collectively as a team in order to secure the benefits of group monetary incentives.
Bonus payment, pension, P.F, production/productivity bonus, profit sharing, etc. are the examples
of group monetary incentives. For the employer/management, group incentives are more important
as they offer many benefits to the management.
(B) Non-monetary Incentives for Employee Motivation
1. Job security and job enrichment : Job security is useful for the motivation of employees. Such
security keeps the employee away from the tension of becoming unemployed. Job enrichment
provides an opportunity for greater recognition and advancement. Job enrichment refers to redesign
of jobs.
2. Fair treatment to employees : Employer should give attention to the needs, difficulties and
grievances of employees. Small work groups and effective communication are useful for solving
the problems of workers. Employees must be given decent treatment. They will be co-operativeonly when they are treated with sympathy and love, affection and dignity. Employees should also
be given help in personal matters.
3. Recognition of good work : Recognition of good work at an appropriate time gives
encouragement to employees to show better performance in future. As an appreciation of good
work, prizes, rewards, promotions, etc. should be given.
4. Encouragement to self-development and career development: Employees should be given
varied training facilities. Training facilitates self-development and also provides opportunities for
career development. Every employee has a desire to grow, develop and rise higher. This desire
should be exploited fully for motivating employees. For this, training as well as management
development programmes should be introduced.
5. Delegation of authority : Due to delegation of authority, a subordinate employee feels that
superior has faith in him and also in his ability to use authority in a proper manner. Employees get
mental satisfaction when authority is given to them. They take interest and initiative in the work
and try to prove that they are competent to work at the higher levels. Thus, delegation of authority
becomes a motivating factor.
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6. Congenial working conditions : It is a non financial incentive for motivation. Employees
should be given various facilities and conveniences at the work place. The work environment
should be pleasant and safe. This creates desire to work efficiently.
7. Helpful attitude of management : The helpful attitude of management towards its employees
creates a sense of affinity for the Organisation. Fair treatment to workers creates better
understanding among workers. Cordial industrial relations also motivate employees. Thus,
enlightened and pro-employee attitude of management acts as a motivating factor.
8. Fair opportunity of promotion : Fair opportunity of promotion to all eligible workers is one
more method useful for motivating employees. They take interest in the work as they feet that they
will be rewarded in the form of promotions. Training facility should be provided to employees in
order to make them eligible for promotion.
9. Labour participation in management : Labour participation in management is useful for the
motivation of employees. Workers get higher status and better scope for expressing their views
through such participation. Even the formation of quality circles or joint management councils is
useful for motivating employees.
10. Designation and status : When an employee is provided with a better designation, it
adds to his status. Employees are proud to reveal their attractive and high-sounding designations.
Theories of Motivation
Main theories of motivation are :-
1. Maslow's Hierarchy of Needs Theory.
2. Hertzbergs Two Factor Theory.
3. Douglas McGregor's Theory X Theory Y.
4. McClelland's Achievement Motivation Theory.
1. Maslow's Hierarchy of Needs Theory
It was in 1943 a Psychologist Mr. Abraham Harold Maslow suggested his Theory of Human
Motivation. His theory is one popular and extensively cited theory of motivation. Maslow's theory is
based on the Hierarchy of Human Needs. According to Maslow, human behavior is related to his
needs. It is adjusted as per the nature of needs to be satisfied. In hierarchy of needs theory, Maslow
identified five types / sets of human need arranged in a hierarchy of their importance and priority. He
concluded that when one set of needs is satisfied, it ceases to be a motivating factor. Thereafter, the next
set of needs in the hierarchy order takes its place. These needs in hierarchy can be compared to a
pyramid. At the lowest level, there will be first set of needs which can be described as basic needs and
are universal in character. This will be followed by other sets of needs.
Assumptions in Hierarchy of Needs Theory
Maslow's Assumptions in Hierarchy of Needs Theory are :-
1. Man is a wanting being, i.e. his wants are growing continuously even when some wants are
satisfied. Human needs are of varied and diversified nature. They can be arranged in a hierarchy of
importance progressing from a lower to a higher order of needs.
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2. Needs have a definite hierarchy of importance. As soon as needs on a lower level are fulfilled,
those on the next level will emerge and demand satisfaction. This suggests that bread (food) is
essential and is a primary need of every individual. According to Maslow, "Man lives by bread
alone when there is no bread." However, he feels the other needs when his physiological needs are
fulfilled. In brief, bread is important but man does not live by bread alone. There are other needs
(security / safety, social, esteem and self actualisation which influence behavior of people
(employees) to work. This is the basic feature of Maslow's need hierarchy. Attention to all human
needs is essential for motivation of employees. Attention to the provision of bread alone is not
adequate for motivating employees. Bread can act as motivating factor when there is no bread but
when it is available, its use as motivator comes to an end. Here, other motivators (e.g. security of
job, social status, etc.) will have to be introduced for motivating employees. Attention to other
needs such as security needs, social needs, esteem needs and self actualisation needs is equally
important and essential for the motivation of different categories of employees. Maslow, in his
theory, has referred to different needs and suggested that attention needs to be given to all such
needs as attention to physiological needs alone is not adequate for motivating employees.
According to Maslow, "Man does not live by bread alone". This conclusion of Maslow is a practical
reality and needs to be given adequate attention while motivating employees.
3. A satisfied need does not act as a motivator.
4. As one need is satisfied, another replaces it.
Maslow's Pyramid of Human Needs
Maslow's Pyramid of Human Needs is shown in the following diagram.
The Maslow's Pyramid of Human Needs is explained below :-
1. Physiological Needs : Physiological needs are the basic needs for sustaining human life. These
needs include food, shelter, clothing, rest, air, water, sleep and sexual satisfaction. These basic
human needs (also called biological needs) lie at the lowest level in the hierarchy of needs as they
have priority over all other needs. These needs cannot be postponed for long. Unless and until these
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basic physiological needs are satisfied to the required extent, other needs do not motivate an
employee. A hungry person, for example, is just not in a position to think of anything else except
his hunger or food. According to Maslow, 'man lives by bread alone,' when there is no bread. The
management attempts to meet such physiological needs through fair wages.
2. Security / Safety Needs : These are the needs connected with the psychological fear of loss of
job, property, natural calamities or hazards, etc. An employee wants protection from such types of
fear. He prefers adequate safety or security in this regard i.e. protection from physical danger,
security of job, pension for old age, insurance cover for life, etc. The safety needs come after
meeting the physiological needs. Such physiological needs lose their motivational potential when
they are satisfied. As a result, safety needs replace them. They begin to manifest themselves and
dominate human behavior. Safety needs act as motivational forces only if they are unsatisfied.
3. Social Needs : An employee is a human being is rightly treated as a social animal. He desires to
stay in group. He feels that he should belong to one or the other group and the member of the group
should accept him with love and affection. Every person desires to be affiliated to such groups. This
is treated as basic social need of an individual. He also feels that he should be loved by the other
members. He needs friends and interaction with his friends and superiors of the group such as
fellow employees or superiors. Social needs occupy third position in the hierarchy of needs.
4. Esteem Needs : This category of needs include the need to be respected by others, need to be
appreciated by others, need to have power and finally prestigious position. Once the previous needs
are satisfied, a person feels to be held in esteem both by himself and also by others. Thus, esteem
needs are two fold in nature. Self esteem needs include those for self confidence, self-respect,
competence, etc. The second groups of esteem needs are those related to one's status, reputation,
recognition and appreciation by others. This is a type of personal ego which needs to be satisfied.
The Organisation can satisfy this need (ego) by giving recognition to the good work of employees.
Esteem needs do not assume the motivational properties unless the previous needs are satisfied.
5. Self-actualisation Needs : This is the highest among the needs in the hierarchy of needsadvocated by Maslow. Self actualisation is the desire to become what one is capable of becoming. It
is a 'growth' need. A worker must work efficiently if he is to be ultimately happy. Here, a person
feels that he should accomplish something in his fife. He want to utilise his potentials to the
maximum extent and desires to become what one is capable of becoming. A person desires to have
challenges and achieves something special in his life or in the area of his specialization. Though
every one is capable of self-actualization, many do not reach this stage. This need is fully satisfied
rarely.
Limitations of Hierarchy of Needs Theory
Maslow's theory of motivation (Hierarchy of Needs Theory) is very popular all over the world and
provides guidelines to managers / managements for motivating employees. However, Maslow's theory
has many limitations.
Limitations of Maslow's Hierarchy of Needs Theory are noted below :-
1. Maslow's theory is over simplified and is based on human needs only. There is lack of direct
cause and effect relationship between need and behavior.
2. The theory has to refer to other motivating factors like expectations, experience and perception.
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3. Needs of all employees are not uniform. Many are satisfied only with physiological needs and
security of employment.
4. The pattern of hierarchy of needs as suggested by Maslow may not be applicable uniformly to all
categories of employees.
5. Maslow's assumption of 'need hierarchy' does not hold good in the present age as each person
has plenty of needs to be satisfied, which may not necessarily follow Maslow's need hierarchy.
6. Maslow's theory is widely accepted but there is little empirical evidence to support it. It is largely
tentative and untested. Maslow's writings are more philosophical than scientific.
Importance of Hierarchy of Needs Theory
Although Maslow's Hierarchy of Needs Theory has been criticised on above grounds, still it holds many
advantages or merits. It helps the managers to understand the behaviour of their employees. It also helps
the managers to provide the right financial and non-financial motivation to their employees. This overall
helps to increase the efficiency, productivity and profitability of the organisation.
2. Hygiene Factors of Two Factor Theory
Frederick Herzberg Theory of Human Motivation
Frederick Herzberg's theory of motivation is also called 'Two Factor Theory', 'Dual Factor Theory' and
'Hygiene / Maintenance Theory of Motivation'. This theory is based on the information collected by him
and his associates (in the USA in 1959) by interviewing two hundred engineers and accountants. The
information collected relates to the attitude of people towards work. This attitude towards work depends
on two sets of factors namely hygiene or maintenance factors and the motivating factors.
According to Frederick Herzberg, the Hygiene Factors do little contribution to provide job satisfaction.
He called them "dissatisfiers ' as their absence cause dissatisfaction but their presence is not motivating
but only prevent dissatisfaction. The hygiene factors meet man's needs to avoid unpleasantness but do
not motivate them to take more interest in the work. Hygiene factors (when provided) create a favorableenvironment for motivation and prevents job dissatisfaction. They are not an intrinsic part of a job, but
they are related to the conditions under which a job is performed. When employer is unable to provide
enough of these factors to his employees, there will be job dissatisfaction. However, if they are
provided, they will not necessarily act as motivators. They will just lead employees to experience no job
dissatisfaction. Such hygiene factors are as noted below.
Hygiene / Maintenance Factors are :-
1. Company's Policies and Administration,
2. Supervision,
3. Working Conditions,
4. Interpersonal Relations with superiors
and other subordinates,
5. Salary,
6. Job Security,
7. Status,
8. Personal Life, and
9. Employee Benefits.
Motivating Factors of Two Factor Theory
Motivating Factors act as forces of job satisfaction. They create positive and a longer lasting effect on
employees performance and are related to work itself. Adequate provision of such factors called are
'Satisfiers'. They make people happy with their jobs because they serve man's basic needs for
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psychological growth. In addition, they also motivate employees in their work. Such factors are five and
are called motivators by Herzberg. The motivating factors are:
Motivating Factors are :-
1. Achievement,
2. Recognition for Accomplishment,
3. Increased Responsibility,
4. Opportunity for Growth and Development, and
5. Creative and Challenging Work.
Motivating factors motivate subordinates to take more interest in the work. They raise efficiency and
productivity of employees. According to Frederick Herzberg, motivating factors are essential in order to
provide job satisfaction and in order to maintain a high level of job performance. Employees will not
have job satisfaction if the motivating factors are not provided in sufficient quality by the employer.
According to Frederick Herzberg, these two sets of factors are quite independent of each other. It may
be noted that hygiene factors, when satisfied, tend to eliminate dissatisfaction but do not motivate an
individual employee for better performance. The motivating factors will permit an individual to grow
and develop in a natural way. In brief, hygiene factors affect an individual's willingness to work while
motivating factors affect his ability and efficiency to work. This theory can be compared to Maslow's
theory of human needs as both the theories refer to needs and their role in motivation. In addition, the
assumptions in both the theories are identical.
Frederick Herzberg's theory has many limitations. They are related to research methodology used,
empirical validity and assumptions in the theory. His theory is criticized on many grounds. Many have
found the theory to be an oversimplification. Despite such criticism, Herzberg's two factor theory has
made a significant contribution towards improving manager's basic understanding of human behaviour.His theory is simple to grasp, based on some empirical data and guides managers to improve employee
motivation. Herzberg provided stimulus to other researchers to develop alternative theories of
motivation.
Compare Maslow and Herzberg Theory
Distinction between Maslow and Herzberg's Theory of Motivation.
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3. Douglas McGregor's - Theory of Motivation
The eminent psychologist Douglas McGregor has given his theory of motivation called Theory X and
Theory Y. He first presented his theory in a classic article titled 'The Human Side of Enterprise'. He
treated traditional approach to management as 'Theory X' and the professional approach to management
as 'Theory Y'. His theory refers to two sets of employees based on the perception of human nature. Here,
theory X and theory Y are two sets of assumptions about the nature of employees. His theory is based on
human behavior.
Theory X.
Theory X is based on traditional assumptions about people (employees). Here, the conventional
approach of management is used as a base. It suggests the following features of an average human
being/employee (assumptions about human nature):
Assumptions of Theory X.
1. The average human being is inherently lazy by nature and desires to work as little as possible. Hedislikes the work and will like to avoid it, if he can.
2. He avoids accepting responsibility and prefers to be led or directed by some other.
3. He is self-centered and indifferent to organizational needs.
4. He has little ambition, dislikes responsibility, prefers to be led but wants security.
5. He is not very intelligent and lacks creativity in solving organizational problems.
6. He by nature resists to change of any type.
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In the case of such employees, self-motivation is just not possible. They will work only when there is
constant supervision on them. A manager has to persuade, punish or reward such workers in order to
achieve organizational goals.
Theory Y.
Theory Y is based on modern or progressive or professional approach. Here, the assumptions about
people i.e. employees are quite different.
Assumptions of Theory Y.
1. Work is as natural as play, provided the work environment is favorable. Work may act as a
source of satisfaction or punishment. An average man is not really against doing work.
2. People can be self-directed and creative at work if they are motivated properly.
3. Self-control on the part of people is useful for achieving organizational goal. External control
and threats of punishment alone do not bring out efforts towards organizational objectives.
4. People have capacity to exercise imagination and creativity.
5. People are not by nature passive or resistant to organizational needs. They have become so as a
result of experience in organisations.
6. An average human being learns under proper conditions. He is also willing to accept
responsibility.
7. The intellectual capacity of an average human being is utilised partially under the conditions of
modern industrial life.
Theory X and Theory Y.
Such types of people (employees) are self-motivated and McGregor recommends that they be motivated
by encouraging participation so as to get team work. Theory Y assumes that people are not by nature,
lazy and unreliable. They can be self-directed and creative at work, if properly motivated. It is for themanagement to unleash this potential in individuals (employees). Theory Y emphasizes creating
opportunities, removing obstacles, providing guidance and encouraging growth. By using these tools,
the management can integrate individual goals of employees with those of the Organisation.
The assumptions in Theory X and Theory Y are fundamentally distinct. Theory X is static, rigid,
conservative and pessimistic. Theory Y is optimistic, dynamic, flexible and progressive. It suggests self
direction and the integration of individual needs with organizational needs. On the other hand, more
importance is given to external control imposed by the superior on the subordinate in the Theory X.
4. McClellands Manifest Need Theory of Motivation.
Some people have an intense desire to achieve while others are not so keen about achievement. David C.
McClelland had studied this phenomenon for over twenty years at Harvard University and proposed his
Achievement Motivation Theory (Also called Manifest Need Theory). According to him, there are
certain needs that are learned and socially acquired as the individual interacts with the environment.
McClelland classified such needs into three broad categories. These are (a) Need for power, (b) Need for
affiliation, and (c) Need for achievement.
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(a) Need For Power.
This need is indicated by a person's desire to control and influence the behavior of others. A person with
desire for power likes to compete with others when the situation is favorable for such domination. Such
persons prefer jobs that provide them an opportunity to acquire leadership with power. There are two
aspects of power accordingly to McClelland. These are: positive and negative. Positive use of a power is
necessary when a manager desires to achieve results through the efforts of others. The negative use of
power is possible when a person uses power for personal aggrandizement. Such use of power may prove
to be harmful to the Organisation.
(b) Need For Affiliation.
Here, the person has a need/desire for affection and wants to establish friendly relationships. A person
with high need for affiliation seeks to establish and maintain friendships and dose emotional
relationships with others. He wants to be liked by others and develops a sense of belonging by joining
informal groups in the Organisation. Such persons (managers) prefer tasks that require frequent
interaction with subordinates/co-workers.
(c) Need For Achievement.
Here, the person desires to succeed in competitive situations. He desires to prove his superiority over
others. Such person sets reasonably difficult but potentially achievable goals for himself. He accepts
moderate degree of risk. He is more concerned with personal achievement than with the rewards of
success. Moreover, he feels that he can achieve the goal with his efforts and abilities. He also desires to
have concrete feedback (social or attitudinal) on his performance. Such person has high level of energy
and capacity to work hard. He naturally prefers jobs which tax his abilities and skills fully. This again is
for achieving the objectives set. According to McClelland, the need for achievement is the most
important need which can be used effectively for the economic progress of a nation.
Persons with achievement needs tend to be motivated by difficult, challenging and competitive work
situations and not by routine and non-competitive situations. They habitually spend their time thinking
about doing things better. They are not motivated by money but in their future achievements. Such
employees are better achievers and naturally get promotions faster. An Organisation also grows faster
and move towards prosperity with the support of such achievement seekers employees.
2. Importance of Achievement Motivation Thoery.
McClelland's theory is important as he argues that the achievement motive can be taught. It can be
achieved by learning. A manager can raise achievement need level of his subordinates by creating a
healthy work atmosphere, provision of reasonable freedom to subordinates, provision of more
responsibilities and by making tasks more interesting and challenging. Even reward and appreciation of
high performance of subordinates is useful for raising their achievement need level. This is how
motivation of employees is possible by developing the desire for higher achievement in their mind. Such
achievement motivation is necessary and useful for the success of an enterprise.
McClelland's theory of motivation is quite extensive. He developed achievement motive for motivation.
His assertion that achievement motive can be developed among the employees is important. This is
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possible through well-conceived and deliberate learning process. This he (McClelland) proved in an
experiment carried out in a large U.S. Corporation.
According to McClelland, every person has an achievement motive to some extent. However, some are
constantly more achievement-oriented than others. Most people will put more efforts into their work if
they are challenged to do better. However, the achievement-motivated person is likely to outstrip all
others in his zeal to improve performance when he is challenged. He makes more efforts and
accomplishes more. This background can be used for motivation of employees. In fact, McClelland's
achievement motivation theory is based on this experience which he gained while working with Harvard
University.
Achievement motivation is very essential for the success of an entrepreneur or enterprise. Every
employee should have some objective which he desires to achieve. Such desire for achievement acts as a
motivating factor. According to McClelland, the need for achievement is the most important need. It can
be used as motivating factor for economic progress of a nation and even for the success of an enterprise
or entrepreneur. An entrepreneur or a manager has to put forward some objective before every employee
and encourage the employee to achieve the same. To create the desire for achievement of objective is a
way to motivate employee. In this way, achievement motivation is useful for the success of an
enterprise/entrepreneur.
Hawthorne Studies in Motivation
The most famous of all human relations movement and research were Hawthorne Experiments. So
named because they were carried on in Hawthorne plant of western Electric Company of Chicago in
USA.
Dr. Elton Mayo led a team from Harward University which cooperated with western electric co. in the
period 1927-1936 to carry out Hawthorne Experiments. They identified following details.
1. Recognized the importance of employee attitudes such as understanding voluntary co-operationsand willing dedication in accomplishment of organizational goals.
2. Found that employee performance is very much influenced by his attitude towards his job,
associates and management.
3. Proved that organizational firm can gain only when its employees are satisfied contented in their
jobs.
4. Pointed out that any change to be should be made should be explained and its meaning should be
clear to employees. The fact that change is logical is not enough because employees may not
appreciate the logic.
5. Explored much of information on group behavior.
6. Thus have provided the basis for much of what we know about getting along with all, problem
employees in particular.
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